Now i am no expert in T Theory, but from what I remember of work of late/great Terry Laundry this one is a finely brewed Bergamot T. His famous Advance-Decline(A/D) Oscillator looked really really similar to NYMO, and since he never revealed how exactly he calculated the thing, well, NYMO it is.
Conservatively, T starts at left bottom, and since it is no doubt a V-bottom on SPX and extreme reading on NYMO - here you go - rally into spring. T End Date will be sometime in April, I will figure out the date when we get there.
Overall it looks like the same scenario as two previous years - ramp into spring, summer range, double or multiple top and crush.
More tea, dear Sir?
Later that day we had a wonderful discussion here:
Darth_Gerb replied to
you
All very good. and I reviewed the old chart just to refresh.
The smallest T, ending soon, I fully agree with.
The descending NYMO highs created the thick brown line, and the plunge to -100 and resultant skyrocket up, created a break in that line, which defines a shift from accumulation to distribution.
The other two larger T's however nice, I disagree with and I'll share my opinion and what I've learned from Terry. The low near NewYears was not low enough. In fact it doesn't even qualify at -40. Go look at the earlier 2 year chart. only lows of -80 would I consider. Terry said, "if a low doesn't go low enough, then the rebound is weak, typically in creating a fail setup where there just isn't enough buyers and confidence to go higher."
The T into spring has a shot at being legit, but there is no guarantee where the price of SPX would be at that time. It would be something to jot down in your notes/calendar 'to keep an eye on'. Otherwise, you've got T theory in your blood.
-DG
The smallest T, ending soon, I fully agree with.
The descending NYMO highs created the thick brown line, and the plunge to -100 and resultant skyrocket up, created a break in that line, which defines a shift from accumulation to distribution.
The other two larger T's however nice, I disagree with and I'll share my opinion and what I've learned from Terry. The low near NewYears was not low enough. In fact it doesn't even qualify at -40. Go look at the earlier 2 year chart. only lows of -80 would I consider. Terry said, "if a low doesn't go low enough, then the rebound is weak, typically in creating a fail setup where there just isn't enough buyers and confidence to go higher."
The T into spring has a shot at being legit, but there is no guarantee where the price of SPX would be at that time. It would be something to jot down in your notes/calendar 'to keep an eye on'. Otherwise, you've got T theory in your blood.
-DG
No comments:
Post a Comment